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How Starlink Became Nigeria’s 2nd Largest ISP in Just 2 Years

One of Starlink’s primary advantages over traditional ISPs is its high-speed internet service. Offering speeds between 50Mbps and 200Mbps, it significantly outperforms Nigeria’s average internet speed of 20Mbps.

Starlink’s Rapid Growth in Nigeria

In under two years, Starlink has become Nigeria’s third-largest Internet Service Provider (ISP), amassing 65,564 subscribers by the end of Q3 2024. This positions it just behind Spectranet Ltd, which holds 105,441 active subscribers. Starlink’s staggering 174.36% growth since December 2023, when it had only 23,897 subscribers, underscores its rapid adoption and growing demand.

Launched in Nigeria on January 30, 2023, Starlink has since expanded to at least 16 African countries, with more set to gain access in 2025. This growth trend mirrors its success in other nations, such as Kenya and Zimbabwe, where it quickly reached full capacity in major cities.

What Drives Starlink’s Popularity?

Superior Internet Speeds and Reliability

One of Starlink’s primary advantages over traditional ISPs is its high-speed internet service. Offering speeds between 50Mbps and 200Mbps, it significantly outperforms Nigeria’s average internet speed of 20Mbps. Unlike mobile internet, which suffers from congestion due to reliance on radio waves from base stations, Starlink provides a stable and fast connection through its low-earth orbit (LEO) satellite network.

Bypassing Infrastructure Challenges

Nigeria’s fixed broadband penetration remains below 50%, with approximately 27 million people lacking broadband access. Traditional ISPs rely on expensive fibre-optic rollouts, which are slow and costly. Starlink circumvents these challenges by using SpaceX-launched satellites to deliver internet directly to user terminals, eliminating dependency on terrestrial infrastructure.

Resilience Amid Economic Challenges

Despite Nigeria’s rising inflation and the naira’s devaluation, which pushed Starlink’s monthly subscription to ₦75,000 (from ₦19,260) and hardware costs to ₦590,000 (from ₦274,098), demand remains high. Many Nigerians view Starlink as a premium internet solution worth the investment, especially for businesses and remote workers in underserved areas.

Starlink vs. Traditional ISPs: A Disruptive Force?

Traditional ISPs are struggling to keep up. Nigeria’s entire ISP market comprises only 307,946 fixed broadband users, compared to 169.04 million mobile internet subscribers. While mobile networks dominate internet access, they suffer from congestion and fluctuating speeds, making fixed broadband essential for businesses and heavy data users.

According to industry expert Ayoola Oke, a former advisor to the Nigerian Communications Commission (NCC), 90% of traditional ISPs may shut down within the next five years. This prediction highlights the growing competition and potential dominance of satellite-based internet solutions.

Starlink’s Technical Edge: The Power of SpaceX Satellites

Starlink’s efficiency lies in its vast network of nearly 6,000 satellites, which orbit closer to Earth than traditional satellite internet services. This low-earth orbit (LEO) model enables Starlink to:

  • Provide lower latency internet, improving real-time communication and gaming experiences.
  • Offer reliable connections in remote and rural areas.
  • Scale efficiently without requiring extensive terrestrial infrastructure.

With over 42 petabytes of data transmitted daily as of January 2024, Starlink continues to prove its capability as a global internet powerhouse.

Challenges and Roadblocks

Despite its success, Starlink faces some hurdles in Nigeria:

High Costs Limit Accessibility

While Starlink is a game-changer for premium users, its pricing remains out of reach for many Nigerians. The initial hardware investment and high subscription fees make it a luxury rather than a mainstream solution.

Regulatory and Competitive Pressures

The Nigerian government’s ongoing investments in state-owned refineries signal a willingness to maintain control over critical industries. Similarly, regulatory scrutiny and competition from telecom giants could pose challenges to Starlink’s expansion.

The Future of Internet Access in Nigeria

READ ALSO: Starlink Addresses High Demand for Satellite Internet in African Cities Amidst Network Overload

With Starlink’s rapid adoption, the Nigerian internet landscape is evolving. The introduction of multiple broadband options, including fibre, mobile, and satellite, ensures consumers have alternatives tailored to their needs.

Biodun Omoniyi, CEO of VDT Communications, aptly summarizes this shift:

“Some people will take up Starlink, others will rely on mobile internet, and some will choose fixed wireless access. The key takeaway is that consumers now have more choices.”

Final Thoughts: Starlink’s Impact on Nigeria’s Digital Future

Elon Musk’s 2020 prediction that “everywhere on Earth will have high-bandwidth, low-latency internet” is becoming a reality. With over 3 million global users in 99 countries as of May 2024, Starlink is reshaping how Nigerians access the internet.

While affordability remains a challenge, its ability to deliver reliable, high-speed internet to underserved regions ensures its place as a transformative force in Nigeria’s broadband ecosystem. As demand grows and competition increases, the coming years will determine just how deeply Starlink integrates into Nigeria’s digital future.

Categories: News
Emmanuel Daniji:
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